The Analytical Overview of the Main Currency Pairs on 2017.12.19

The EUR/USD currency pair

Technical indicators of the currency pair:

Prev Open: 1.17423

Open: 1.17811

% chg. over the last day: +0.34

Day's range: 1.17766 – 1.18107

52 wk range: 1.0341 – 1.2069

At the moment, the "bullish" sentiment prevails on EUR/USD. The price is testing the local resistance of 1.18100. The nearest support is at the level of 1.17800. Investors expect up-to-date information on the tax reform in the US. Today, we recommend paying attention to economic reports from Germany and the United States. Positions must be opened from the key levels.

The news feed on 2017.12.19:

- The IFO business climate index at 11:00 (GMT+2:00);

- Statistics on the real estate market in the US at 15:30 (GMT+2:00).

The price has fixed above 50 MA and 200 MA, which indicates the power of buyers.

The MACD histogram is in the positive zone and continues to rise, which signals an increase in the EUR/USD currency pair.

Stochastic Oscillator is located in the overbought zone, the %K line has crossed the %D line. There are no signals at the moment.

Trading recommendations

Support levels: 1.17800, 1.17400, 1.17000

Resistance levels: 1.18100, 1.18400

If the price fixes above the resistance level of 1.18100, we recommend considering buying EUR/USD. The movement is tending to 1.18400-1.18500.

Alternative option. If the price fixes below the 1.17800 mark, you need to look for entry points to the market to open short positions. The target level of movement is 1.17400-1.17200.

The GBP/USD currency pair

Technical indicators of the currency pair:

Prev Open: 1.33094

Open: 1.33810

% chg. over the last day: +0.47

Day's range: 1.33608 – 1.34025

52 wk range: 1.1450 – 1.3618

Yesterday, there was a correction on the GBP/USD currency pair after a significant drop on Friday, December 15. The pound recouped most of the losses. At the moment, the technical pattern is ambiguous. The trading instrument is in a sideways trend. The key range is 1.33700-1.34100. It is recommended to open positions if the price fixes above/below these marks. We are waiting for statistics on the real estate market in the US.

The news feed on the UK economy is calm.

The indicators do not send accurate signals. The price has crossed 200 MA.

The MACD histogram is in the positive zone and continues to rise, which indicates the growth of GBP/USD.

Stochastic Oscillator is located near the overbought zone, the %K line has crossed the %D line. There are no signals at the moment.

Trading recommendations

Support levels: 1.33700, 1.33350, 1.33100

Resistance levels: 1.34100, 1.34550

If the price fixes below the "mirror" support level of 1.33700, you need to look for entry points to the market to open short positions. The movement is tending to 1.33350-1.33100.

Alternative option. If the price fixes above the 1.34100 mark, we recommend considering buying GBP/USD. The target level of movement is 1.34550-1.34750.

The USD/CAD currency pair

Technical indicators of the currency pair:

Prev Open: 1.28667

Open: 1.28630

% chg. over the last day: -0.06

Day's range: 1.28500 – 1.28758

52 wk range: 1.2059 – 1.3795

There is an ambiguous technical pattern on the USD/CAD currency pair. At the moment, the trading instrument is in a sideways trend. The key levels of support and resistance are still: 1.28450 and 1.28850 respectively. Investors expect additional drivers. We recommend opening positions from the key levels.

The publication of important economic reports from Canada is not planned.

The signals of the indicators are different. The price has fixed above 50 MA and 200 MA, which indicates the power of buyers.

The MACD histogram has begun to decline and is below the signal line, indicating a fall in USD/CAD.

Stochastic Oscillator is located near the oversold zone, the %K line is above the %D line, which signals the purchase of USD/CAD.

Trading recommendations

Support levels: 1.28450, 1.28000, 1.27400

Resistance levels: 1.28850

If the price fixes below the support level of 1.28450, it is necessary to consider selling USD/CAD. The movement is tending to 1.28000-1.27750.

Alternative option. If the price fixes above 1.28850, we recommend considering USD/CAD purchases. The target level of movement is 1.29250-1.29500.

The USD/JPY currency pair

Technical indicators of the currency pair:

Prev Open: 112.718

Open: 112.538

% chg. over the last day: -0.14

Day's range: 112.511 – 112.664

52 wk range: 99.53 – 118.67

The technical pattern on USD/JPY is still ambiguous. The currency continues to be traded in a flat. The key levels are support - 112.500; resistance - 112.800. Participants of the financial markets expect economic reports from the United States. We recommend paying attention to the government bonds yield. Positions must be opened from the key levels.

The news feed on Japan's economy is calm.

The indicators do not send accurate signals. The price has crossed 50 MA.

The MACD histogram is located near the 0 mark.

Stochastic Oscillator is near the oversold zone, the %K line has crossed the %D line. There are no signals at the moment.

Trading recommendations

Support levels: 112.500, 112.100

Resistance levels: 112.800, 113.250

If the price fixes below the 112.500 support level, we recommend considering selling USD/JPY. The movement is tending to 112.100-112.000.

Alternative option. If the price fixes above the resistance level of 112.800, it is necessary to consider buying USD/JPY. The movement is tending to 113.150-113.250.

This article reflects a personal opinion and should not be interpreted as an investment advice, and/or offer,
and/or a persistent request for carrying out financial transactions, and/or a guarantee, and/or a forecast of future events.